The Central propositions of dependency theory.


INTRODUCTION
            According to Viotti and Kauppi(2013) Dependency theory of development is an international relations theory that examines the relationships and interactions often between Global North and Global South states, where the Global South states are often reliance on the Global North for trade. Dependency is an explanation of the economic development of a state in terms of external influences- political, economic and cultural on national development policies (Sunkel.O 1969). Also, According to Dos Santos (1971) Dependency is an historical condition which shapes a certain structure of the world economy such that it favors some countries to the detriments of others and limits the development possibilities of the subordinate economic a situation in which the economy of a certain group of a countries is conditioned by the development and expansion of another economic to which their own is subjected.
     Dependency as a system is comprised of twin sets of states in the opinion of Ferrara, described as a dominant or dependent, center or periphery or metropolitan or satellite.
The dominant states are the advanced industrial nations in the Organization of Economic Cooperation and Development (OECD). Also Dependent states are those states are those states in Latin America, Asia and Africa which have low per capital GDP and which rely heavily on the export of a single commodity for foreign exchange earnings.
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The Central propositions of dependency theory.
  1. Underdevelopment is a condition fundamentally different from underdevelopment
  2. The distinction between underdevelopment and underdevelopment places the poorer countries of the world is a profoundly different historical context.
  3. Dependency theory suggests that alternative uses of resources are preferable to the resources usage patterns imposed by dominant states.
  4. The predicting proposition can be amplified: dependency theorists rely upon a belief that there exists a clear national economic interest which can articulated from each country.
  5. The diversion of resources overtime is maintained not by only by the power of dominant states, but also through the power of elites in the dependent states.
The policy implications of Dependency analysis.
  1. The success of the advanced industrial economics does not serve as a model for the currently developing economies.
  2. Dependency theory reradiates the central distributive mechanism of the neoclassical model, what is usually called trickle down economics.
  3. Since the market only rewards productivity dependency theorists discount aggregate measures of economic growth such as the GOP or trade indices.
  4. Dependent states, therefore, should attempt to persue policies of self reliance.

 Importance of Dependency theory
  • It emphasis on the analysis of both the historical process and social economic political cultural factory of development and underdevelopment.

 Limitations of Dependency Theory     
Some of Major limitations of dependency theory in international policies are as follows:
  1. Lack of unity among dependency theorists
  2. Advocacy of radicalism and socialism
  3. No clear definition of dependency
  4. Negative approach. Dependency theory concentrate more on discussing the defects of world capitalism and less upon the way and means for ending dependency under the developed countries.
  5. Failure to define the concept of unequal exchange.
 
Relevance of dependency theory to the present society.
  1. Increasing globalization, which appears an inevitable social condition and process has pointed out to the interconnected nature of the world today. Never has there been so much flow of capital, finances, goods, people, ideas and so on.
  2. Both theory view the problems of underdevelopment and development within a global context, as interconnected economic, political and social processes.
  3. The economic divide and income gap between industrialized countries and developing countries has widened continually.
   


REFERENCES
Dos Santos.T(1969) The structure of dependence; The American economic Review.
Viotti & Kauppi (2013). International Relations and World politics, George town University.
Sunkel.O (1969). National development policy and external dependence in Latin America

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